L’Occitane set to go private
The owner of the L’Occitane skincare brand has offered to take the company private in a deal that gives it an enterprise value of €6.4 billion.
Reinold Geiger, the chairman and controlling shareholder of L’Occitane, has offered to acquire all shares in the company that he does not already own to enable the business to be privatised and delisted from the Hong Kong Stock Exchange.
L’Occitane said the move will allow the current management team, which will remain in place, to invest in long-term sustainable growth initiatives as a privately held company.
Geiger has offered a purchase price of HK$34.00 per share.
In response, the L’Occitane board has established an independent board committee to evaluate the offer and make a recommendation to minority shareholders.
Geiger said in a statement: “The cosmetics sector is undergoing profound changes, and our company has significantly transformed into a geographically balanced multi-brand group, marked by strategic acquisitions such as Elemis, Sol de Janeiro, and, most recently, Dr. Vranjes Firenze.
“The transaction we are launching today will enable us to focus on rebuilding the foundation for the long-term sustainable growth of our company.”
L’Occitane International operates in 90 countries worldwide and has more than 3,000 retail outlets, including over 1,300 of its own stores.
